Risks Loom as Basin Bets on Green Canada’s Exploration of Marshall Project

• Sale of 100% interest in Marshall Uranium Project to Green Canada Corporation
• Up to C$600,000 cash and C$300,000 in shares payable over several years
• Basin retains 25% buyback option and three-year right of first refusal
• Green Canada commits to minimum C$1.5 million exploration over 24 months
• 9-month exclusivity granted for North Millennium Project earn-in option

Strategic Sale and Partnership

Basin Energy Limited (ASX – BSN) has formalised a binding agreement to sell its wholly owned Marshall Uranium Project in Saskatchewan, Canada, to Green Canada Corporation Inc (GCC), a majority-owned subsidiary of PTX Metals Inc. This move marks a significant step in Basin's strategic repositioning, allowing the company to sharpen its focus on shallow uranium discovery opportunities while maintaining exposure to promising Canadian uranium assets.

The deal includes a structured payment plan with Basin receiving up to C$600,000 in cash over four years and C$300,000 in shares issued over three years. Additionally, Basin will hold a near 10% equity stake in the newly listed GCC entity following a proposed reverse takeover of Maackk Capital Corp, which is expected to list on the Canadian Securities Exchange.

Retained Rights and Exploration Commitments

Importantly, Basin retains a 25% buyback option on the Marshall Project exercisable within five years or until GCC has spent C$10 million on exploration. The company also holds a three-year right of first refusal on any future sale of the project by GCC, preserving strategic flexibility. GCC has committed to a minimum exploration expenditure of C$1.5 million over 24 months, signalling a serious intent to advance the project’s prospects.

In parallel, Basin and CanAlaska Uranium Ltd have granted GCC a nine-month exclusivity period to conduct due diligence and negotiate an earn-in option for up to a 51% interest in the North Millennium joint venture project. This expands Basin’s indirect exposure to high-potential uranium targets near the prolific Athabasca Basin, home to some of the world’s richest uranium deposits.

Geological Context and Market Positioning

The Marshall and North Millennium projects are strategically located near Cameco Corporation’s Millennium deposit and the McArthur River uranium mine, both renowned for their high-grade unconformity-style uranium mineralisation. Recent geophysical surveys at Marshall have identified promising drill targets, reinforcing the project's exploration potential.

Basin’s Managing Director, Pete Moorhouse, highlighted the value of the partnership with GCC, noting the potential for drill testing to unlock value for shareholders while allowing Basin to concentrate on its core shallow discovery assets. The transaction also broadens Basin’s leverage to quality uranium projects within GCC’s portfolio, including assets in Nunavut and Quebec.

Conditions and Next Steps

The transaction remains subject to GCC’s final due diligence, the successful completion of the reverse takeover of Maackk Capital Corp, and a minimum C$2.5 million capital raise. Upon closing, Basin will also gain the right to nominate a director to GCC’s board, ensuring ongoing influence over project development.

While the deal introduces execution risk tied to GCC’s listing and financing, it represents a pragmatic approach for Basin to monetise a key asset while retaining upside exposure. Investors will be watching closely as exploration activities ramp up and the reverse takeover progresses.

Bottom Line?

Basin’s sale of Marshall sharpens its uranium focus while maintaining upside through strategic rights and equity stakes.

Questions in the middle?

• Will GCC meet its exploration expenditure commitments on the Marshall Project?
• How will the proposed reverse takeover impact GCC’s ability to advance these uranium assets?
• What are the prospects for Basin exercising its buyback option or right of first refusal?